technology for managers

1. MANAGEMENT INFORMATION SYSTEM
(MIS)
(Module 2)

2. What is MIS ?
Management Information System is a
computer based information system which
is basically concerned with processing
data into information which is then
communicated to the various departments
in an organization to support the
operations, the management and the
decision making function in the
organization.

3. Definition of MIS
• Management information system, or MIS,
broadly refers to a computer based
system that provides managers with the
tools to organize, evaluate and
efficiently manage departments within an
organization
- Subhalakshmi
Joshi

4. What does Management
Information System (MIS) mean?
Fig. 1.1–Management Information System by Sunitha
Vanze

5. MANAGEMENT
• MANAGEMENT is the effective utilisation of
human and material resources to achieve the
enterprise objective
• It is a process consisting of the five basic functions:
• 1 Planning
• 2 Organising
• 3 Staffing
• 4 Directing
• 5 Controlling

6. INFORMATION
• Information: Information, in MIS, means the processed
data that helps the management in planning, controlling
and operations.
• Data means unstructured raw facts, observations or
unevaluated messages in isolation. Data involves facts and
figures. Information on the other hand is like a finished
product.
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7. DATA V INFORMATION
Data Processing Information
Fig 1.2- Management Information System by Dr.P.Mohanan
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SM001 North P001
475
SM002 East P002
500
………
Salesman Code Zone Item Code
Sales
SM001 North P001
475
SM002 East P002
500
……………………….

8. SYSTEM
. A system is an orderly grouping of interdependent
components linked together according to a plan
to
achieve a specific objective.
. Human body is a system composed of various
parts, which are working together towards a
common objective , that is to live

9. Information System
An information system is an
organized
combination of people, hardware, software,
communications network, and data
resources
that collects, transforms, and disseminates
in an organization.

10. Components of Information
System
 Input
 Processor
 Output
 People
 Hardware(physical devices)
 Software (information processing
instructions)
 Data
 Network (communication channels)

11. Management Information
System
 A management Information System is
 An integrated user-machine system
 For providing information
 To support the operations, management, analysis, and
decision-making functions
 In an organization
The system utilizes
 Computer Hardware and Software
 Manual Procedures
 Models for analysis, planning, control and decision
making and
 A database

12. Why MIS ?
• Manager makes decisions all the time.
• There is an overload of information.
• All information is not useful.
• Anything which helps manager improve
his decision-making will obviously lead to
better result.
• MIS is a system, where data is the input,
which is processed to provide output in
the form of information reports,
summaries, etc . Which aid the manager’s
decision-making process.

13. Types of Management
Information Systems
• Executive Support Systems ("ESS") -designed to help senior
management make strategic decisions. ESS typically involve lots of
data analysis and modeling tools to help strategic decision-making.
• Decision-support systems ("DSS")-specifically designed to help
management make decisions in situations where there is uncertainty
about the possible outcomes of those decisions.
• Knowledge Management Systems ("KMS")-to help businesses create
and share information. These are typically used in a business where
employees create new knowledge and expertise - which can then be
shared by other people in the organization to create further
commercial opportunities.
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14. Types of Management
Information Systems Cont…..
• Transaction Processing Systems ("TPS")-designed to process routine
transactions efficiently and accurately. Managers often use these systems to
deal with such tasks as payroll, customer billing and payments to suppliers.
• Office Automation Systems (“OAS”)-that try to improve the productivity of
employees who need to process data and information. Wide range of software
systems that exist to improve the productivity of employees working in an
office (e.g. Microsoft Office XP) or systems that allow employees to work from
home or whilst on the move.
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15. How is a Management
Information System Useful in
Companies?
• Planning and Control : MIS improves the quality of plans by providing relevant
information for decision – making. MIS serves as a link between managerial
planning and control. It improves the ability of management to evaluate and
improve performance.
• MIS Minimizes Information Overload : MIS change the larger amount of data
into summarized form and therefore, avoids the confusion which may arise
when managers are flooded with detailed facts.
• MIS Encourages Decentralization : Decentralization of authority is possibly
when there is a system for monitoring operations at lower levels. MIS is
successfully used for measuring performance and making necessary change in
the organizational plans and procedures.
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16. How is a Management
Information System Useful in
Companies? Cont.
• Costs : Invest in a consultant to help define your core requirements that
include information for strategic planning and project management. To be
useful and successful, a management information system should focus on
company products and services, customers, operating costs, marketing
opportunities and the company's exposure to risk.
• MIS brings Coordination : MIS facilities integration of specialized activities
by keeping each department aware of the problem and requirements of
other departments. It connects all decision centers in the organization .
• MIS assembles, process , stores , retrieves , evaluates and disseminates the
information .
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17. Impact of the Management
Information System
• With a good MIS support, the management of marketing , finance,
production and personnel becomes more efficient.
• The MIS begins with the definition of a data entity and its
attributes, respectively, designed for information generation in the
organisation.
• The MIS calls for a systemisation of the business operations for an
effective system design.
• This leads to streamlining of the operations which complicate the
system design.
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18. Impact of the Management
Information System Cont.
• MIS improves the administration of the business by bringing a
discipline in its operations as everybody is required to follow
and use systems & procedures.
• This process brings a high degree of professionalism in the
business operations.
• Since the goals and objectives of the MIS are the products of
business goals & objectives, it helps indirectly to pull the
entire organisation in one direction towards the corporate
goals and objectives by providing the relevant information to
the people in the organisation.
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19. BENEFITS OF MIS
• Data can easily be accessed and analyzed without time
consuming manipulation and processing.
• Decisions can be made more quickly and with confidence that
the data are both time-relevant and accurate.
• Integrated information can be also kept in categories that are
meaningful to profitable operation.
• Significant cost benefits, time savings, productivity gains and
process re-engineering opportunities are associated with the use
of data warehouse for information processing.

20. FUNCTIONAL INFORMATION
SYSTEMS
• On the basis of specific functional areas,
MIS can be categorized as follows:
1. Marketing Management Information System
2. Human Resource Information System
3. Financial Management Information System
4. Production and Inventory Management
Information System

21. TEAM MANAGEMENT
• Team management is the ability of an
individual or an organization to administer
and coordinate a group of individuals to
perform a task. Team
management involves teamwork,
communication, objective setting and
performance appraisals.
• Human Resource Information System is
the Functional Information System used
for Team Management .

22. Human Resource Information System
(HRIS)
• A database system that keeps important
information about employees in a central
and accessible location.
• Feeds information into HR policy and
planning as well as other HR decision
process.

23. HRIS Definition
• It is a systematic way of storing data and
information for each individual employee
to aid planning, decision making and
submitting of returns and reports.
• A method by which an organization
collects, analyses and reports the
information about people and job.
- Dr. Shikha N Khera -

24. How HRIS helps in Team
Management
STAFFING :
• All managers know the importance of having
right person at the right place. To recruit the
right person for the right job requires
information from various resources. HRIS
play a very important role in providing vital
information to managers so that they can hire
right person for the right job.

25. ORGANIZING :
It is important that organizations not only recruit
the right person for the right job but also keep an
employee motivated. Here again, HRIS plays a
vital role by helping, the managers to keep a
vigil on the staff so that nobody feels neglected.
Motivation can be given in the simplest forms,
such as an email of appreciation from the boss
to the staff or wishes to a subordinate on his
birthday.

26. • Directing & Controlling :
Managers have to be on their toes always because
the staff needs constant direction and redirection for
countering he competitors. HRIS helps the
managers and staff require quick information for
directing their energies towards the overall goals
and objectives of the organization.
As an organization grows, it is very difficult for the
managers to be present at all the places at all the
times. Yet, he has to keep an eye on the activities
of the staff. With the help of the HRIS a manager
can acquire information regarding the staff even
when he is not physically present.

27. • Faster information process,
• Greater information accuracy,
• Improved planning and program
development, and
• Enhanced employee communications
HRIS: Benefits

28.  Abra Suite
 ABS (Atlas Business Solutions)
 CORT: HRMS
 HRSOFT
 Human Resource Micro Systems
 ORACLE- HRMS
 PEOPLESOFT
 SAP HR
 SPECTRUM HR
 VANTAGE: HRA
HRIS: Softwares

29. Few examples of Companies that
Use Management Information
System
• Dell Company -This direct business model eliminates retailers that add
unnecessary time and cost, or who can diminish Dell's understanding of
customer expectations. They also use transaction processing system.
• HDFC- Can reach more people by more efficient way. Employees can easily
connect with other branches, customer service get improved, employees
record maintained very well.
• World Health Organization (WHO)- Health Management Information
System uses an information system specially designed to assist in the
management and planning of health programs, as opposed to delivery
care.
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30. Implementing and applying Management
Information Systems (MIS)
• Implementing and applying Management
Information Systems (MIS) in business
scenarios can significantly enhance
operational efficiency, decision-making
processes, and overall competitiveness.
Here's how MIS can be implemented and
applied in various business scenarios:

31. Implementing and applying
Management Information Systems
(MIS)
• Inventory Management:
• Implementing an MIS for inventory
management can streamline processes
such as tracking stock levels, reordering,
and managing suppliers.
• Application: Automated inventory tracking
through barcodes or RFID tags, real-time
updates on stock levels, and automated
alerts for low stock levels or expiring
products.

32. Implementing and applying Management
Information Systems (MIS)
• Sales and Customer Relationship Management
(CRM):
• An MIS for sales and CRM helps in tracking
customer interactions, analyzing sales trends,
and improving customer satisfaction.
• Application: Customer database management,
sales pipeline tracking, automated marketing
campaigns, and personalized customer
communications based on data analysis.

33. • Financial Management and Reporting:
• MIS can be used for financial data
collection, analysis, and reporting to
support budgeting, forecasting, and
financial decision-making.
• Application: Generating financial reports,
tracking expenses, budget vs. actual
analysis, and forecasting using historical
data.
Implementing and applying Management
Information Systems (MIS)

34. • Human Resource Management (HRM):
• MIS for HRM streamlines processes
related to employee management, payroll,
performance evaluation, and training.
• Application: Automated payroll processing,
employee self-service portals,
performance appraisal tracking, and
training program management.

35. • Supply Chain Management (SCM):
• MIS in SCM helps in optimizing the supply
chain, reducing lead times, and improving
supplier relationships.
• Application: Demand forecasting, supplier
performance tracking, inventory
optimization, and logistics management.

36. • Business Intelligence (BI) and Data
Analytics:
• Utilizing MIS for BI and data analytics
provides valuable insights from raw data,
enabling informed decision-making.
• Application: Dashboards and reports for
visualizing KPIs, trend analysis, predictive
analytics for future trends, and identifying
market opportunities.

37. • Business Intelligence (BI) and Data
Analytics:
• Utilizing MIS for BI and data analytics
provides valuable insights from raw data,
enabling informed decision-making.
• Application: Dashboards and reports for
visualizing KPIs, trend analysis, predictive
analytics for future trends, and identifying
market opportunities.

38. • Business Intelligence (BI) and Data
Analytics:
• Utilizing MIS for BI and data analytics
provides valuable insights from raw data,
enabling informed decision-making.
• Application: Dashboards and reports for
visualizing KPIs, trend analysis, predictive
analytics for future trends, and identifying
market opportunities.
• E-commerce and Online

39. • Operational Efficiency and Automation:
• Implementing MIS improves overall
operational efficiency by automating
routine tasks and providing real-time
information.
• Application: Workflow automation, real-
time monitoring of production processes,
and predictive maintenance based on
machine data.

40. • Compliance and Risk Management:
• MIS helps in ensuring compliance with
regulations and managing risks by
providing audit trails and risk analysis.
• Application: Compliance reporting,
tracking regulatory changes, risk
assessment tools, and monitoring internal
controls.

41. • Collaboration and Communication:
• MIS facilitates collaboration among teams
and departments by providing a
centralized platform for sharing
information.
• Application: Document management
systems, project collaboration tools, and
communication platforms for seamless
teamwork.

42. Reasons or causes of MIS Failure
• Why MIS Fails?
• MIS is a very crucial resource for an
organization. MIS failures can create a big
negative impact on the company that has
designed it. In this case, it brings bad publicity to
the concerned company. MIS failure is very
expensive for the company in terms of money
wastage, time wastage, resource wastage, etc.
Hope for the management of information system
goes end by the concerned company. So, the
organization needs to identify the root causes of
MIS failure and be alert to these concerns during
the development of MIS.

43. Causes of MIS Failure
• Lack of Clear Objectives: Failure to establish specific and
achievable goals for the MIS implementation can lead to
confusion and ineffective use of resources.
• Poor Planning and Implementation: Inadequate planning,
rushed implementation, and insufficient testing can result in
system errors, performance issues, and user dissatisfaction.
• Inadequate User Involvement and Training: Users not being
adequately involved in the design and implementation
process, coupled with insufficient training, can lead to
resistance, low adoption rates, and misuse of the system.
• Data Quality Issues: Inputting inaccurate, incomplete, or
outdated data into the system can compromise the integrity
and reliability of the information generated, leading to
flawed decision-making.

44. • Resistance to Change: Employee resistance to adopting
new technology and processes, often stemming from
fear of job displacement, lack of understanding, or
organizational culture, can hinder the successful
implementation of MIS.
• Lack of Executive Support: Insufficient support and
commitment from top management can result in limited
resources, conflicting priorities, and a lack of alignment
between the MIS objectives and organizational goals.
• Overlooking Security Concerns: Failing to address
security vulnerabilities, implement robust access
controls, and ensure data privacy can lead to breaches,
data loss, and damage to the organization's reputation.

45. • Cost Overruns and Budget Constraints: Underestimating
project costs, not accounting for hidden expenses, and
exceeding budgetary constraints can result in incomplete
implementations, reduced functionality, and
dissatisfaction with the system.
• Technology Compatibility Issues: Incompatibility with
existing systems, hardware limitations, and software
dependencies can impede integration efforts and hinder
the seamless operation of the MIS.
• Lack of Continuous Improvement: Failing to adapt to
evolving business needs, neglecting system
maintenance, and not leveraging user feedback for
enhancements can lead to obsolescence and render the
MIS ineffective over time.

46. Outsourcing or In-house IT
development